* Represents total cumulative flow of new environmental financing from 1 October 2015.
Further information on how we calculate our environmental financing is outlined by category in our Environmental Financing Methodology (PDF, 329KB).
For more details about our environmental financing refer to our Environmental Products and Services, our Sustainability Data Pack (XLSX, 865KB) and our Annual Review (PDF, 2.3MB).
2. Source 100% of our Australian electricity requirements from renewable energy sources by 30 June 2025
We joined the RE100 initiative in 2019 and have a target to source 100% of NAB electricity from renewable sources by 30 June 2025. We have made significant progress in 2021, increasing the proportion of electricity from renewable sources to 31%.
Sourcing 100% of the electricity we need from renewable energy sources will continue to reduce our carbon emissions and help scale-up Australian-based low-emissions infrastructure and renewable energy generation.
3. Engage responsibly on climate policy
We will continue to engage in dialogue with key stakeholders, including customers and the wider community, to help inform how we advocate on climate policy with all levels of government. We will also ensure that our engagement on climate policy is co-ordinated and consistent and we will communicate our position, actions and outcomes annually through our CDP climate change survey response and annual report suite of documents.
4. Report climate change information through mainstream reporting channels and increase our carbon risk disclosure in half and full-year results and annual reporting, incorporating stakeholder input
Consistent with providing transparent and integrated reporting, we are identifying, developing and implementing ways to improve disclosure on carbon risk exposure through collaboration with other financial institutions, both in Australia and internationally. We have publicly reported on our GHG emissions since 2003. We are aligning our GHG reporting with internationally recognised climate change reporting frameworks, such as the Climate Disclosure Standards Board’s Climate Change Reporting Framework and the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD). We continue to incorporate disclosure of relevant climate change related information in NAB’s Annual Financial Report and have included carbon-related disclosures in our Half and Full Year Investor Presentations since May 2015.
5. Putting a price on carbon and align to the UN Global Compact’s business leadership criteria on carbon pricing
We first established an internal carbon price in 2010, as part of action to achieve and maintain carbon neutrality. This has helped to drive investment in energy efficiency initiatives and helps us to achieve GHG reduction targets. We will continue to maintain the use of an internal carbon price and publicly communicate our understanding of how market mechanisms can help achieve GHG reductions. NAB will also continue to disclose, in our annual CDP climate change survey response and other relevant corporate publications, how we use our internal carbon price.
6. Provide transparent and integrated reporting which means we are working to identify, develop and implement new ways to deliver on carbon risk disclosure
We continue to respond to the CDP Climate Change Survey and have maintained our Climate Active Certification in Australia.
In 2019, we signed up to the UN Principles for Responsible Banking.
7. Collective Commitment to Climate Action
NAB joined the Principles for Responsible Banking Collective Commitment to Climate Action (CCCA) in November 2019. The CCCA requires the NAB Group to align its lending portfolio to net zero carbon emissions by 2050. This will involve NAB: (a) setting targets to align our lending exposures to support the low-carbon transition and the Paris Agreement and (b) developing sector-specific plans to support our clients in accelerating the low-carbon transition.
NAB has submitted its second annual report on progress to the United Nations Environment Programme Finance Initiative (UNEP FI) as part of meeting its CCCA obligations (see page 24 of our Annual Review). NAB are working closely with 100 of our largest greenhouse gas emitting customers to support them in developing or improving their low-carbon transition plans by 30 September 2023. In 2021, we have progressed with 34 out of 100 of those customers.
1. Actions 3, 4 and 5 adopt three of the CDP (formerly the Carbon Disclosure Project)-led “We Mean Business” Coalition global climate change aims.
2. Represents total cumulative new flow of environmental financing from 1 October 2015. Refer to our 2021 Sustainability Data Pack for a further breakdown of this number and reference to how progress towards our environmental finance target is calculated